MicroStrategy has purchased an additional 29,646 bitcoins, worth nearly $650 million from all the proceeds of its senior convertible notes. The company’s total bitcoin purchase now stands to more than $1 billion. Senior convertible notes are generally debt securities that can be converted into the shares of an issuer. In early December, the company held a $650 million convertible senior note sale to raise funds. The company used all the proceeds from the funds raised for its latest bitcoin purchase.
MicroStrategy now holds 70,470 bitcoins worth over $1.596 billion in its treasury reserve. On Dec. 21, CEO Michael Saylor announced that the latest purchase was made at an average price of $21,925 per BTC. Subsequently, the business intelligence firm spent $1.125 billion on bitcoin to date, at an average price of $15,964.
In August, the company started investing heavily through Coinbase’s institutional service, making Bitcoin as its primary reserve asset. After exhausting its own funds, the company raised additional funding by selling $650 million worth of convertible senior notes to buy more bitcoin.
Commenting on the latest BTC purchase, Microstrategy CFO Phong Le said:
Saylor, who is now an avid bitcoin proponent recently tried to convince Elon Musk to move Tesla’s funds into Bitcoin. Additionally, he even offered to share his Bitcoin playbook with Musk offline.
In the announcement release, MicroStrategy CEO, Michael Saylor said:
MicroStrategy is the largest independent publicly-traded business intelligence company and a leading enterprise analytics platform.